FNGD vs XLI: Correlation
Measured on weekly returns over the past three years, MicroSectors FANG Index -3X Inverse Leveraged ETNs due (FNGD) and Industrial Select Sector SPDR Fund (XLI) carry a correlation of -0.55, a negative link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FNGD and XLI?
On 3 years of weekly data the FNGD/XLI correlation comes out at -0.55, negative, meaning they tend to move in opposite directions. The link has tightened recently: the 1-year correlation (-0.28) runs above the 3-year figure (-0.55). The 5-year figure is -0.58, and annualized covariance runs at -657.3 %².
Among the 1743 assets we track against FNGD, XLI ranks #1650 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months XLI outperformed by 74.0 percentage points (-55.7% for FNGD against +18.3% for XLI). Note the risk asymmetry: FNGD runs 4.8 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
FNGD vs XLI: side by side
| FNGD (MicroSectors FANG Index -3X Inverse Leveraged ETNs due) | XLI (Industrial Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | -55.7% | +18.3% |
| 5-year return | -99.4% | +84.0% |
| Volatility (ann.) | 75.7% | 15.7% |
| Beta vs S&P 500 | -4.54 | 0.89 |
| Max drawdown (3Y) | -97.6% | -18.5% |
| Market cap | – | – |
| P/E (trailing) | 20.6 | – |
| Dividend yield | 0.00% | 1.15% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $32.9B |
| Sector / category | US Listed | Sector ETF |
XLI is an Industrials fund from State Street Investment Management: $32.9B under management, 83 holdings, a 0.08% expense ratio, a 1.15% trailing dividend yield.
Year-by-year returns
| Year | FNGD | XLI |
|---|---|---|
| 2022 | +52.2% | -5.6% |
| 2023 | -90.1% | +18.1% |
| 2024 | -76.6% | +17.3% |
| 2025 | -61.4% | +19.3% |
| 2026 | -49.5% | +15.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FNGD and XLI good diversifiers for each other?
By historical standards, yes. A correlation of -0.55 means the two rarely move for the same reasons.
FAQ
What is the correlation between FNGD and XLI?
The FNGD/XLI correlation stands at -0.55 on a 3-year window (1 year: -0.28, 5 years: -0.58), computed from weekly returns as of 2026-08-27.
Is XLI a good diversifier for FNGD?
By historical standards, yes. A correlation of -0.55 means the two rarely move for the same reasons.
What does a correlation of -0.55 mean?
On the −1 to +1 scale, -0.55 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/fngd-vs-xli.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/fngd-vs-xli/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: FNGD correlations · XLI correlations
